Oracle GL Journals Entry Interview Questions
select b.je_batch_id batch_id ,
h.je_header_id header_id ,
l.je_line_num line ,
l.code_combination_id ccid ,
g.segment1 || '.' || g.segment2 || '.' || g.segment3 ||
'.' || g.segment4 || '.' || g.segment5 || '.' || g.segment6 ||
'.' || g.segment7 || '.' || g.segment8 || '.' || g.segment9 ||
'.' || g.segment10 combination ,
l.entered_dr entered_dr,
l.entered_cr entered_cr,
l.accounted_dr accounted_dr,
l.accounted_cr accounted_cr,
l.status
from gl_je_lines l,
gl_je_headers h,
gl_je_batches b,
gl_code_combinations g
where b.je_batch_id = h.je_batch_id
and h.je_header_id = &je_header_id
and l.je_header_id = h.je_header_id
and h.je_batch_id = b.je_batch_id
and l.code_combination_id = g.code_combination_id
order by h.je_header_id, l.je_line_num;
Can a Posted General Ledger Journal Entry be deleted?
After a journal entry is posted, it cannot be deleted. Posted journal entries cannot be deleted because that would eliminate the audit trail. To nullify the accounting effect of the posted journal entry, you can reverse it.
When can not a journal batch be deleted or modified?
A journal batch cannot be deleted or modified under the following circumstances:
a. The source is frozen
b. Funds have been reserved for the batch
c. Funds are in the process of being reserved for the batch
d. The batch is in the process of being posted
e. The batch is posted
f. The batch is approved
g. The batch is in the process of being approved
A journal batch should not be updated if it comes from a sub-ledger.
Changing accounting information in a journal that originated in a sub-module will unsynchronize the accounting information between the ledger and the sub-ledger. Instead of changing the sub-ledger journal, define a new journal to adjust the accounting information if necessary.
A journal batch that has funds reversed cannot be updated because the funds would not be re-reserved appropriately.
Which report shows details of a posted journal batch?
Journals – General (180 Char) and Journals – General (132 Char)
Is possible to restrict users from entering negative amounts in journal lines?
Unfortunately, it is not possible to restrict users from entering negative amounts in journal entry lines.
How to set up journal approval in General Ledger?
This is set up using Oracle Workflow Builder. The basics steps to setup Journal Approval are as below
a) Enable Journal Approval at the Ledger level b) Setup Journal Sources for Journal Approval c) Configure the profile options that control how the approval list will be built d) Define Employees and Supervisors e) Define Approval limits for approvers f) Associate the employees to Oracle Apps users g) Optional Workflow Configuration
For more information refer metalink notes: ID 176459.1 & ID 278349.1
How do you attach an Excel spreadsheet to a journal entry in Oracle General Ledger?
1. Query the Journal that needs the spreadsheet attachment.
2. Click on the paperclip on the tool bar.
3. Fill the following fields in the Attachment form.
Category - Choose Journal from LOV
Description - optional
Data Type - OLE Object from the LOV
4. Right click on the large white portion of the Attachment form choose ‘Insert Object’ from the drop box.
5. When the Insert Object Form appears check “create from file” and click on “Browse” to choose the file that should be attached from the directory structure.
6. Save.
How do you easily copy a journal entry from one set of books to another?
There is no standard feature to copy journal entries between sets of books. However, there are some alternatives. Refer Metalink note: ID 204082.1
How to prevent user’s ability to reverse unposted journals?
For 11i, there is not a method to prevent users from reversing unposted journals. This is intended functionality to incorporate the maximum flexibility that users may require. However you can limit user access to journal reversals through user menus set up in Sys Admin responsibility.
This functionality changed in R12 – see Note 734848.1 In Release 12, a batch must be posted before it can be reversed.
How do you automatically generate a reversal journal entry for a journal category in the previous accounting period?
If you routinely generate and post large numbers of journal reversals as part of your month end closing and opening procedures, you can save time and reduce entry errors by using Automatic Journal Reversal to automatically generate and post your journal reversals.
First you define journal reversal criteria for journal categories. Journal reversal criteria let you specify the reversal method, period and date. You can also choose to enable automatic generation and posting of journals.
When you create a journal entry you want to automatically reverse, specify a journal category that has assigned reversal criteria. Your journal will be reversed based on the method, period and date criteria you defined for that journal category.
In Release 12, a reversal journal that is Unposted cannot be modified. Why?
This is the expected functionality in Release 12. However the profile GL: Edit Reverse Journals can be set to allow the modification. Refer metalink note: ID 567641.1
Reversing journal was deleted from the system, how can you still reverse the original journal?
General Ledger does not allow you to reverse a journal entry twice. . Refer metalink note: ID 145043.1 for details.
A journal entry with a source set up for automatic reversal is not reversed. Why?
General Ledger automatically submits the AutoReverse program when a period is opened if the profile option, GL: Launch AutoReverse After Open Period, is set to Yes. If a journal is created after the period has already been opened, then the AutoReverse program will need to be submitted manually.
A journal has been created and is unposted. The following period has a reversing journal for the original journal and it is posted. Why it is so?
This is currently the functionality of the application to allow the reversing journal to be posted even if the original journal is not.
Few Concepts on General Ledger
What is General Ledger?
The Oracle General Ledger is the central repository of accounting information. The main purpose of a general ledger system is to record financial activity of a company and to produce financial and management reports to help people inside and outside the organization make decisions.
General Ledger Accounting Cycle:
- Open period
- Create/reverse journal entries
- Post
- Review
- Revalue
- Translate
- Consolidate
- Review/correct balances
- Run accounting reports
- Close accounting period
What are Set of Books?
A set of books determines the functional currency, account structure, and accounting calendar for each company or group of companies. It is replaced by the Ledger Sets in R12.
Set of Books consists of the following Three elements
- Chart of Accounts: COA can be designed to match the Organizational Structure and dimensions of the business.
- Currency: GL enables to define one currency as Functional Currency and use other currencies for transactions.
- Calendar: Calendar has to be defined to control the accounting year and its periods.
Types of Journal Entries:
Within Oracle General Ledger, you can work with the following types of journal entries:
Manual Journal Entries
The basic journal entry type is used for most accounting transactions. Examples include adjustments and reclassifications.
Reversing Journal Entries
Reversing journal entries are created by reversing an existing journal entry. You can reverse any journal entry and post it to the current or any future open accounting period.
Recurring Journal Entries
Recurring journal entries are defined once, then are repeated for each subsequent accounting period you generate. You can use recurring journal entries to define automatic consolidating and eliminating entries. Examples include intercompany debt, bad debt expense, and periodic accruals.
Mass Allocations
Mass Allocations are journal entries that utilize a single journal entry formula to allocate balances across a group of cost centers, departments, divisions or other segments. Examples include rent expense allocated by headcount or administrative costs allocated by machine labor hours.
Foreign Currency Concepts:
The three key foreign currency concepts in Oracle General Ledger are:
Conversion
Conversion refers to foreign currency transactions that are immediately converted at the time of entry to the functional currency of the set of books in which the transaction takes place.
Revaluation
Revaluation adjusts liability or asset accounts that may be materially understated or overstated at the end of a period due to a fluctuation in the exchange rate between the time the transaction was entered and the end of the period.
Translation
Translation refers to the act of restating an entire set of books or balances for a company from the functional currency to a foreign currency.
What are Financial Statement Generator Reports (FSG)?
Oracle General Ledger’s Financial Statement Generator (FSG) is a powerful and flexible tool you can use to build your own custom reports without programming. You can define custom financial reports, such as income statements and balance sheets, online with complete control over the rows, columns, and content of your report. You can control account assignments, headings, descriptions, format, and calculations in addition to the actual content. The reusable report components make building reports quick and easy. You can copy a report component from one report, make minor edits, then apply the report component to a new report without having to create a new report from scratch.
What is Applications Desktop Integrator(ADI)?
Applications Desktop Integrator combines the power of Oracle General Ledger journal entry, budgeting, and report creation, submission, publishing, and analysis within an Excel spreadsheet environment.
Journal Components:
Every journal entry in Oracle General Ledger has three components.
- Every journal entry belongs to a batch. You create a batch of journal entries by entering a name, control total and description for the batch.
- This step is optional. If you do not enter batch information, Oracle General Ledger automatically creates one batch for each journal entry, defaulting the name and the latest open period.
- All journal entries in a batch share the same period.
- Entering a batch control total and description are optional.
- If you do not enter a batch name, you must recall the journal entry by date.
- Batch information is stored in the GL_JE_BATCHES table.
Journal Header Information
- The header information identifies common details for a single journal entry, such as name, effective date, source, category, currency, description, and control total.
- Group related lines into journal entries
- All lines in a journal entry must share the same currency and category.
- If no journal entry-level information is entered, Oracle General Ledger assigns a default name, category, and the functional currency.
- Header information is stored in the GL_JE_HEADERS table.
Journal Line Information
- Journal lines specify the accounting information for the journal entry.
- Total debits must equal total credits for a journal entry for all journal entries except budget journal entries and statistical journal entries.
- Description for each line can be entered optionally.
- Information for journal entry lines is stored in the GL_JE_LINES table.
Journal Posting Methods:
You have three methods to post journal batches.
Batch Posting: Navigate to the Post Journals window to post a group of journal batches.
(N) Journals > Post
Manual Posting: Select the More Actions button from either the Journals window or the Batch window to post a journal batch at the time of entry. This option is available only if the profile option Journals: Allow Posting During Journal Entry has been set to Yes.
When you post journals, Oracle General Ledger posts all journals in a batch. You cannot post individual journal entries in a batch.
(N) Journals > Enter (B) More Actions
Automatic Posting: Run the AutoPost program to post journal batches automatically based on a schedule you define.
(N) Setup > Journals > AutoPost
Good stuff.
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